PSA, the parent company of French automakers Peugeot and Citroen, has said that it is looking for a strategic partner in order to “rise in the global rankings of carmakers” by sharing platforms in order to reduce skyrocketing development costs due to increased compliance demands.
PSA might be looking to follow in the same direction – at least conceptually – as fellow French automaker Renault, which has been in a generally successful alliance with Japanese automaker Nissan since 1999.
“If we can’t become more global more quickly through organic growth alone, we won’t hesitate to seize opportunities for external growth and partnerships,” PSA CEO Philippe Varin told the Financial Times.
“We won’t hesitate to co-operate with other carmakers to share development expenses and launch projects at lower cost.”
All automakers are intense financial pressure due to the economic downturn, as well as by governments of North America and Europe, which have instituted ever-stricter emissions and fuel consumption requirements.
Fiat?
Fiat CEO Sergio Marchionne has not been shy about stating that his Italian automaker would like to grow, either by acquiring or partnering with other automakers. Since Fiat lost the bid for Opel to Canada’s Magna International, some have suggested that PSA could be a match made in heaven for the Italians.
Peugeot and Fiat talked earlier this year about an alliance – something analysts expect could resume. Though Fiat and PSA have much product and distribution overlap, their combined production output could be significantly streamlined by partnering on future platforms.
Don’t expect to see Peugeot or Citroen vehicles in North America should a partnership pan out, however. Fiat has its plate full trying to straighten out Chrysler and the automaker has already said it will begin importing the Fiat 500 and, eventually, some Alfa Romeos.
06/04, 2:32 PM
posted by:
Madcapp
Pepé Le Pew?
06/04, 2:41 PM
posted by:
Borat
I don’t believe it is likely. Both auto groups have huge model and technologies overlap. They are even in each others price range in Europe and what worse in each other quality category (not extremely high). But both are producing the most gorgeous cars on the road.
06/04, 2:46 PM
posted by:
JakeK66
Welcome to the inevitable shrinkage of the auto industry. There are way too many hands in the pot looking to boost sales and increase car lines. The industry needs less brands and more alliances to survive, we have already seen some of them already, I see more coming.
How about Mazda? They need a partner now that Ford and them got a divorce.
06/04, 2:57 PM
posted by:
ahnuconun
PSA and Mazda should team up. The Peugeot 308 and the Mazda3 have the same angry-smiling dimple-foglight front end.
06/04, 3:18 PM
posted by:
Insensitive
Don’t be surprised if Ford does not team up with them. They have diesel technology that Ford can use. The next generation Powerstroke Diesel is a Peugeot design.
06/04, 3:42 PM
posted by:
carstuff
GM has a bunch of extra money soon. Perhaps they can partner?
06/04, 4:06 PM
posted by:
Borat
Insensitive, small car diesel (1.3L) in European Fords is sourced form FIAT.
06/04, 5:30 PM
posted by:
JakeK66
Not only that, Borat, so is the entire Ford Ka platform.
06/04, 5:42 PM
posted by:
yarddog82abn
As a analysts my self I also see the advantage of a, Peugeot / Citroen / Fiat / Chrysler / eco-car, turn AWD Rally-car with a Ferrari Tune Hemmi Big Block…
That is what the Auto Industry needs as a “REVOLUTIONARY – CONCEPT” to be brought forth to the masses as a symbol of International transportation for the people, of all road ways of life.
It will be a vehicle with the capability to traveling the World, from the streets of New York to the dirt roads of Chile, from the snow banks of West Russia to the tropical forest of East Asia. It will truly a Wold leading class vehicle…
Now if only the WRC will just bring it’s Rally Racing state side….
06/04, 7:28 PM
posted by:
global_lightning
Peugeot-Citroen-Saab.
‘Global Partnership’ = access to the U.S. market. Saab still has a small independent dealership network, mostly near strategic urban areas. They’d target affluent urbanites who are bored with Japanese cars but weary of German costs and stuffiness. Furthermore Saab still has its inhouse engineering which PSA could use to their advantage.
06/04, 7:54 PM
posted by:
impulsive facts
Peugeot-Citroen-Saab?!
Hmmm, I like it! But someone else with a little more sales muscle, like Mazda, would be necessary.
I think Toyota took an interest in Subaru (another quirky company), but what about Suzuki and Mitsubishi? Quality is certainly no worse (maybe even better!) and you’d have access to more markets.
06/04, 8:16 PM
posted by:
Suzhou
Peugeot is pretty ugly, Citroen is ok though.
06/04, 8:25 PM
posted by:
jdasch1
Insensitive-can you back up that statement that Ford’s new Powerstroke Diesel is based on Peugeot’s design? Any stories or links to articles would be helpful.
06/04, 8:28 PM
posted by:
Borat
mpulsive facts, Peugeot and Citroen are using Mitsubishi as rebadged entry into SUV market with their own 4 cyl. diesel. FIAT is licensing SX4 from Suzuki. They already “related”, but Suzuki and Mitsubishi are really tiny and they are parts of Japanese conglomerates.
06/05, 5:31 AM
posted by:
SomeGreek
PSA already cooperates with many car companies like Toyta, Mitsubishi, Bmw…
I think Toyota would be the best match as the French could add some spirit to their creations, but the dominant position of Toyota in such a group would be major disadvantage and a reason for PSA not to make the deal.
06/05, 12:02 PM
posted by:
shaver
Citroen C4 WRC; This is my favorite French car, in testing. Viva la Loeb.
http://www.youtube.com/watch?v=vRLjRBi6QuI